Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

***Please answer: Produce a separate trend-projection least-squares model for each of the five game numbers (weeks). With those models, what is the total expected attendance

image text in transcribed

image text in transcribed***Please answer: Produce a separate trend-projection least-squares model for each of the five game numbers (weeks). With those models, what is the total expected attendance for the 5 games in 2023? The correct answer is 250,530. **Please show calculations***

Southwestern University (SWU), a large state college in Stephenville, Texas, enrolls close to 20,000 students. The school is a dominant force in the small city, with more students during fall and spring than permanent residents. Always a football powerhouse, SWU is usually in the top 20 in college football rankings. Since the legendary Phil Flamm was hired as its head coach in 2015 (in hopes of reaching the elusive number-one ranking), attendance at the five Saturday home games each year increased. Prior to Flamm's arrival, attendance generally averaged 25,000 to 29,000 per game. Season ticket sales bumped up by 10,000 just with the announcement of the new coach's arrival. Stephenville and SWU were ready to move to the big time! The immediate issue facing SWU, however, was not NCAA ranking. It was capacity. The existing SWU stadium, built in 1953 , has seating for 54,000 fans. The table indicates attendance at each game for the past 6 years. a Homecoming games. b During the fourth week of each season, Stephenville hosted a hugely popular southwestern crafts festival. This event brought tens of thousands of tourists to the town, especially on weekends, and had an obvious negative impact on game attendance. One of Flamm's demands upon joining SWU had been a stadium expansion, or possibly even a new stadium. With attendance increasing, SWU administrators began to face the issue head-on. Flamm had wanted dormitories solely for his athletes in the stadium as an additional feature of any expansion. SWU's president, Dr. Joel Wisner, decided it was time for his vice president of development to forecast when the existing stadium would "max out." The expansion was, in his mind, a given. But Wisner needed to know how long he could wait. He also sought a revenue projection, assuming an average ticket price of $50 in 2022 and a 5% increase each year in future prices. Produce a separate trend-projection least-squares model for each of the five game numbers (weeks). With those models, what is the total expected attendance for the 5 games in 2023? A. 239,540 B. 250,530 C. 230,500 D. 234,520

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Finance For Dummies

Authors: Ayse Evrensel

1st Edition

111852389X, 978-1118523896

More Books

Students also viewed these Finance questions